Mortgage News

MORTGAGE NEWS

Residential Mortgage No Longer Charges an Origination Fee

Residential Mortgage no longer charges an origination fee on its home loans, lowering out-of-pocket closing costs to qualified homebuyers.*

Instead of paying the customary 1% origination fee, you’ll pay a processing fee and an underwriting fee.

The money you save could be in the thousands, and be used to increase your down payment, set up an emergency fund for those inevitable home repairs, lower debt, or whatever you choose.

Local service, more programs and fewer fees set us apart from other lenders.

For more information, or to pre-qualify, contact us  today.

 

*Restrictions may apply. Amount of savings depend on the loan amount. Minimum loan amount to save is $105,000. Not available on AHFC loans.


Down Payment and Closing Cost Assistance

You may qualify for down payment and closing cost assistance programs.

Residential Mortgage is offering home buyers down payment and closing cost assistance grants through the Federal Home Loan Bank of Des Moines.*

Home$tart and Home$tart Plus

These programs are available to qualifying home buyers earning up to 80% of area median income for the location of the residence being purchased. Median income information for Alaska communities can be found on the Department of Housing and Urban Development (HUD) website at www.huduser.org . Income limits are adjusted based on household size.

Home$tart and Home$tart Plus recipients must also:

  • Qualify for mortgage financing with their Residential Mortgage.

  • Complete a home buyer education class if first-time home buyer.

Home$tart Plus participants must be receiving public housing assistance.

Home$tart participants may receive up to $5,000 in grant funds. Home$tart Plus participants may receive up to $10,000.

Native American Homeownership Initiative (NAHI).  To qualify for this program, at least one of the adult members of the household being assisted must be an enrolled member of a federally recognized tribe, or a member or shareholder of an Alaska Village or Regional Corporation. In addition, the home buyers can only earn up to 80% of area median income for the location of the residence being purchased. Median income information for Alaska communities can be found on the HUD website. Income limits are adjusted based on household size.

NAHI recipients must also:

  • Qualify for mortgage financing with Residential Mortgage. 

  • Complete a home buyer education class if first-time home buyer. 

NAHI participants may receive up to $10,000 in grant funds.

Home$tart, Home$tart Plus and NAHI grants may be used for down payment and closing costs towards the purchase of single-family homes, manufactured homes, condominiums and other types of residences. You may also be able to use it to renovate a new residence. The home you purchase must be used for your primary residence.

If your home is purchased with assistance, it’s subject to a five-year deed restriction requiring that you return a portion of the grant if you sell your home within five years. If you sell your home at a net loss or to another low- or moderate-income home buyer or if you lose your home through foreclosure, the prorate amount owed on your grant will be forgiven. However, if you live in the home for at least five years, you never have to repay the grant.

To see if you qualify, contact us  today.

 

*Grants available on a first-come, first-served basis.


Refinance Renovation Loans

Are you ready to renovate your outdated kitchen or master bath and increase your home’s value? What about increase the energy efficiency of your home to save you money? All of that is possible with a Refinance Renovation loan from Residential Mortgage.

Below you’ll find some quick facts about the Refinance Renovation loan and its requirements.

  • Available to all Alaska residents.

  • Properties eligible include: owner-occupied single-family residences, duplexes, triplexes, fourplexes, condominium units and Type I manufactured as well as rural non-owner-occupied duplexes, triplexes and fourplexes.

  • Written estimates must be supported by a bid or contract signed by a licensed contractor. Borrowers doing the work themselves must provide evidence of their qualifications to complete the project.

  • Renovations must comply with state laws regarding contractor licensing and minimum construction standards.

  • Both an “as-is” and “as-complete” appraisal is required. Appraisals must clearly discuss the existing property, renovations proposed and include a discussion of materials used. It must also include the estimated market value of the home after the renovations are completed.

  • 50% of the total loan amount, or $75,000, whichever is LESS will be held in escrow. In addition, a 10% contingency is required for cost overruns. Unused escrow funds are applied to the principal. The term of the escrow may not exceed 180 days.

  • Additions are subject to additional requirements.

  • A final inspection is required.

For more information, or to apply for a loan, contact us  today.


100% VA Cash-Out Refinance for Qualified Veterans

Qualified veterans are able to refinance up to 100% of your home’s value with a VA Cash-Out home loan.

A VA Cash-Out Refinance loan provides access to cash from the equity you’ve built up in your home – and you’re free to use the money for whatever you want!

  • Remodel your home

  • Pay off high-interest debt

  • Eliminate tuition-related debt

  • Buy a car or boat

Compared to many other kinds of loans, the VA Cash-Out is often your best way to convert your home’s equity into cash because it’s often offered at a lower rate when compared to a conventional cash out loan.*

Low interest rates and high home values make it a great time to tap into your home’s equity for other expenses. Contact us  today to find out if you qualify.

 

*Property must be owner occupied. Requires a full appraisal as the loan amount is based upon the current appraised value. Maximum loan amount is different in each state. Ask your loan originator for specifics. Applicants are not required to extract cash. Closing costs and funding fee can be rolled into the entire loan amount. By refinancing an existing loan, total finance charges may be higher over the life of the loan.